Turkmenistan declares Gazprom insolvent

Photo: gazprom.ru

Turkmenistan has declared the Russian gas monopoly, Gazprom, insolvent, s it failed to pay for Turkmen gas supplied for Gazprom, says an official statement on the Turkmen government's website. The debt amount is not specified. The Turkmen government says the debt was caused by Western sanctions against Russian companies.

In February, Turkmengaz deputy director Annadurdy Meretgeldyev said that Moscow failed to implement agreements on ivestments in construction of the Pe-Caspian gas pipeline and the East-West pipeline.

At present time, Russia is buying gas from Turkmenistan, Uzbekistan, and Kazakhstan. Under an agreement signed in 2003 by Moscow and Ashgabat for 25 years, 70-80 billion cubic meters of gas were to be delivered to Russia annually via the Central Asia - Center pipeline, and then via the East-West pipe. However, this winter, deputy chair of Gazprom Alexander Medvedev annoubced Gazprom would cut purchase of gas in Central Asia "based on joint agreements."

Gazprom has not yet provided any official response. The website of Turkmengaz is unavailable now.